Jean-Arnold Vinois, DG Energy, on the Energy Infrastructure Package

Jean-Arnold Vinois, Acting Director Internal Energy Market of DG Energy at the European Commission, met with leading energy journalist Hughes Belin to discuss the Energy Infrastructure Package, proposed by the European Commission in October last year. The package is currently being examined by the European Parliament and the council of EU ministers.

According to Vinois, the proposal tabled by the Commission comprises four key elements, for the first time in the 20 year existence of the trans-European energy networks (TEN-E) brought together in a coherent measure:

• The identification of Projects of Common Interest (PCIs)
• Permit granting issues
• Cost-allocation by regulators
• Financing

In addition, Acting Director Vinois indicates that the system evolved over time from a list of projects tabled by the Member States, into one that finds its base in 10-Year Network Development Plans, updated every two years. At the helm of these plans are the TSOs (Transmission System Operators). A comprehensive one for the gas market was proposed last year, and the 10-year plan on electricity is expected later this year.

Major attention goes out to Projects of Common Interest, which are crucial for the process of integrating the various national markets into a single European. Such PCIs either comprise cross-border projects or national projects with cross-border impact. In any case they need to be commercially viable, stresses the Acting Director Internal Energy Market.

Furthermore, Vinois pays attention to concerns that, although projects are believed to benefit from the foreseen permit granting acceleration, Member States at the same time are worried that the 3 year time frames proposed by the Commission are too short to authorize such elaborate projects.

When it comes to the allocation of costs regarding cross-border projects, the new Energy Infrastructure Package provides more clarity. The new procedure is pretty straightforward according to Jean-Arnold Vinois; those who benefit most have to take care of a corresponding part of the costs.

Finally, attention is paid to the proposed Connecting Europe Facility, which aims to finance the missing links in Europe’s energy network. According Vinois the Facility covers projects unquestionably beneficial for society, for example guaranteeing the security of supply, but which are not commercially viable. Accordingly, these projects receive funding to cover the gap between the costs paid for by customers and the added value for society. Likewise, it supports undertakings that seek to improve the position of countries poorly connected to the European Energy Infrastructure.

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